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Enron Mail |
Can you all help with the California issues?
---------------------- Forwarded by Christi L Nicolay/HOU/ECT on 06/22/2001 12:55 PM --------------------------- From: Christi L Nicolay 06/19/2001 03:33 PM To: Robert Eickenroht/Enron@EnronXGate, Paul Kaufman/Enron@EnronXGate, Janine Migden/NA/Enron@Enron, Steve Montovano/NA/Enron@Enron, Harry Kingerski/NA/Enron@Enron cc: James D Steffes/NA/Enron@Enron, Sarah Novosel/Corp/Enron@ENRON, David Portz/Enron@EnronXGate, Robbi Rossi/Enron@EnronXGate, Ray Alvarez/NA/Enron@ENRON, sscott3@enron.com, Andrea Woodland/Enron Communications@Enron Communications Subject: ASAP please -- EBS on site power deals EBS owns on-site back up generators at various POP locations (in the EBS buildings) across the US (see the list below. The generators max at appr. 1.5 MWs each. Per the generator permits, the generators only run during emergencies when there is no power coming off the grid. EBS only uses about 20% of the generator output. EBS has been approached by several tenants within the EBS buildings about "sharing" by purchasing power from the on-site generators during emergencies only. The appr. value to EBS is $2MM this summer. Robert--Are there any PUHCA issues to Enron if EBS sells power to other tenants in the same building? Is EBS required to obtain an EWG certificate before doing this? Retail folks--Since the power would not flow to the grid, this seems like it may entail a "retail type" sale of on-site generation, rather than a wholesale sale for which a power marketer license is required. Do you know of any specific restrictions for the states listed? (FYI -- One of the locations is in San Jose and the power has been curtailed severel times at the location. It certainly seems like Cal. would be encouraging the use of back up generators, but I do not know the specific rules.) Finally, since EBS wants to act quickly, we discussed EBS hiring perhaps Sam Behrens to work through this issue in the event we are unclear about any of the regulations or rules. Thanks for letting me know your comments right away. -----Original Message----- From: Woodland, Andrea Sent: Friday, June 15, 2001 4:35 PM To: Rossi, Robbi Subject: Re: Power Here's the scope of this project. I do not have David's email, so could you send this onto him? The plan is to sell Emergency Power at our POP's. There are 11 POP's where we have generators installed in the building, and we are only utilizing approximately 20% of the capacity. The plan is to sell the other 80% to other building tenants. The power would only be provided in emergency situations - which means when the normal power grid is down (current building permits allow this). There would be an up front cost to providing the power (breaker/conduit/conductor) which we would pass onto the customer as an ititial Non-recurring Fee. They would pay a monthly fee to have the emergency power available (demand charge), then pay a fee for the kwh used (capacity charge). The customers that will be interested in this are either tapped out on their generator or do not currently have a generator. So, to pay a initial connection fee, which will be much less than the cost to install a generator, and then a monthly fee for the power insurance, should be acceptable. This file shows the cities & the generator sizes, with about 80% available. The companies on the right are who I've currently sent letters to. So far we've received 3 phone calls - 1 who wants to buy all the power he can in San Jose. From these discussions, the requests have ranged from 100A or 83kW to 1000 A or 830kW. We need a term sheet or contract, and I would also be interested in speaking with EPMI about a contract with them. Sounds like that might be a bit less risky. Thanks for you help. Andrea Woodland Enron Broadband Services 503-886-0532 (desk) 503-880-4547 (cell) Robbi Rossi/ENRON@enronXgate 06/15/01 12:47 PM To: Andrea Woodland/Enron Communications@Enron Communications cc: Subject: Power Andrea, David called me back and said he wanted to talk to Kristy Nickolay - his regulatory person before we spoke. It may be helpful if you could send him a brief description of the intended transaction. The power people are very busy right now - and the easier we can make it for them to help us - the better. He needs to know something about the size of the transactions and the potential customers.
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